Last week’s video was dedicated to the discussion of anticipating liquidity traps and that’s ALL you needed for the week.
Understanding the ‘why’ will make these trades make a lot more sense.
Why do they make these secondary moves, and how you can predict these types of situations based on the volume and price action? Or, if nothing else, how do you prevent yourself from jumping in front of a low-volume clear out that needs to happen before fading back off?
Similarly, stuff like LIPO, learn why it needed to clear out shorts into the close.
Had a lot of longs flipping the bias to shorts last week – one of the better weeks I’ve had in the last few months, obviously behind the TPST OPGN VS etc. week the week before. But things are starting to heat up after a few months of just steadily grinding as all my side projects come to an end (couple renovations, building a home, etc.). My focus is starting to return. FYI, I don’t recommend trying to juggle family, three projects, plus trading. It wasn’t my intention, but I just went from one project to the next to multiple at once, and it really took a lot of my energy over the last year and a half. But happy to be complete all of them!
We had a lot of great long-side liquidity traps last week before clearing out to offer the fade back.
XRTX is an example of exhausting myself out from a home run trade like the OTLK trade.
MTC is a perfect example of seeing a liquidity trap play out with a major buy in and what can happen if over sized and fighting.
Big names: RIVN IONQ PLTR continue to have daily range and great traders if you’re not looking for small caps.
- TPST last week -> results?
- Interview with Ryan A+ guy (watch it here if you haven’t already)
- Keeping solid averages = improvement
- Liquidity Traps = current market
- Post squeeze out ACXP MNTS
- Long into shorts WHLR
- MTC Buy ins (manufactured squeeze)
- XRTX Fumbling the home run (similar to OTLK set up)
- BTDR daily example (good model for blue print)
Video Scan and Game Plan
Stocks to Watch
AUMN no need to hammer front side – Thursdays candle likely trapped lots of shorts given the weak close only to squeeze them on Friday. Watch dips ideally $2.20-2.50 + blow out or something even more wild. We’ll see – patience but don’t sit there and think it has to do what you think – may be worth looking at GLBS for a comparison if it decides to just consolidate instead of parabolic move to fade.
ICU tick tock on this one – shorts still buried. Eventually they’ll be right but it’s just a fight against time from one buy in to another. In my eyes everyone is sized short for this raise which is imminent. I’d imagine they either amend and then raise but if they throw a PR out in the meantime and do any 4AM funny business anything is possible. So, as obvious as it is as was the VS trade we talked about – still need to be cautious front side.
BPTH ideally just gap blow out and fade back off similar to BCEL – you should be seeing this stuff clear as day by now after the last few Sunday videos.
Failed Follow Through:
LIPO morning shove and potential gap fill – nice ideas Friday on this one.
OTLK any good shove vs. .50s over/under is ideal
MTC likely back to .50 short term – all pops of interest
SECO higher better for back side – covered that short on Friday very nice fade.
WHLR morning shove for fade
XRTX screwed this home run up Friday – never went back but my own fault for not sizing properly and too low. Partially my fault anyway – I kept getting partial fills which tells me SWIPE right don’t keep trying to get the fill. Thinking another dime fade potential.
FNGR higher better – some funny biz in tape. All I know is when this ends its going to be bad. Huge huge bids on Friday only to fade right off into close.
HUBC watch dips .68-.70 build .80 as trigger. Had a good trade on Friday but then it faded off still hanging around oddly well so I am not ready to think fade time yet. If it stays heavy under .60-.62 = void thesis.
EJH washing promo walk up watch as they create a short position and fuel it for their exit – and then I’m interested
TOP same as above – the usual.
TCJH same as above – the usual.